Interface, Inc. (TILE) Hit a 52 Week High, Can the Run Continue?

Have you been paying attention to shares of Interface (TILE)? Shares have been on the move with the stock up 29.1% over the past month. The stock hit a new 52-week high of $23.85 in the previous session. Interface has gained 86.2% since the start of the year compared to the 5.6% move for the Zacks Consumer Discretionary sector and the 36.1% return for the Zacks Textile - Home Furnishing industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 1, 2024, Interface reported EPS of $0.48 versus consensus estimate of $0.33.For the current fiscal year, Interface is expected to post earnings of $1.37 per share on $1.31 billion in revenues. This represents a 37% change in EPS on a 3.87% change in revenues. For the next fiscal year, the company is expected to earn $1.55 per share on $1.35 billion in revenues. This represents a year-over-year change of 13.14% and 3.02%, respectively.Valuation MetricsInterface may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.Interface has a Value Score of A. The stock's Growth and Momentum Scores are A and D, respectively, giving the company a VGM Score of A.In terms of its value breakdown, the stock currently trades at 17.2X current fiscal year EPS estimates, which is a premium to the peer industry average of 15.6X. On a trailing cash flow basis, the stock currently trades at 11.9X versus its peer group's average of 4.6X. Additionally, the stock has a PEG ratio of 1.14. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Interface currently has a Zacks Rank of #1 (Strong Buy) thanks to rising earnings estimates.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Interface passes the test. Thus, it seems as though Interface shares could still be poised for more gains ahead.Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Interface, Inc. (TILE): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks